What would happen if you had a month’s trip to America booked – departing in six months time – and were unexpectedly diagnosed with lung cancer? Suppose you had to cancel your holiday and go in for immediate surgery. If you had been smart and taken out travel insurance – effective from the date you booked the trip – you should be able to recover costs associated with the cancellation of the trip (after any excess payable). However, if you had waited until the day before departure to purchase travel insurance your cancellation costs would not be covered. Some people try to squeeze extra mileage out of their annual travel insurance policy by making the start date of the policy the date of the first departure. This is a risky thing to do because there will be no cover for cancellation costs if anything should go wrong prior to the departure date.
Just suppose you’d been having tests and investigations within the last year for lung-related problems but failed to declare this fact when purchasing travel insurance. During your scuba diving holiday in California, you start coughing up blood all over the dive boat. You have to seek emergency medical care and a diagnosis of lung cancer is confirmed. Would you be covered for the high emergency medical costs or curtailment of your trip? Probably not.
Anyone with a serious pre-existing medical condition will already know that obtaining travel insurance can be tricky, but not impossible. Some travel insurance companies exclude all claims related to pre-existing medical conditions. Some insurers will cover for pre-existing conditions without any additional premium. Other travel insurance companies may have a medical screening system, usually carried out over the telephone or online. A series of questions is asked to assess the risk and determine whether insurance can be issued. If approved, there may be a choice to either pay an additional premium to cover the pre-existing condition – or elect not to pay the extra premium and exclude claims relating to the risk.
Common conditions such as hypertension (high blood pressure), diabetes and asthma can all cause problems when trying to obtain travel insurance – especially if combined with other conditions, so never neglect to disclose something as common as high cholesterol thinking that it is insignificant! All questions must be answered fully and honestly.
As with any type of insurance, there are always exclusions. Some insurers will refuse to insure those with pre-existing conditions involving cancer, serious kidney problems (requiring dialysis), serious heart conditions, strokes and HIV, AIDS, or any AIDS-related problems. They also do not cover for suicide or suicide attempts – in case you’re thinking of jumping off the Golden Gate Bridge!
Most travel insurance policies will carry similar wording and it is wise to read and understand the terms and conditions. For instance, there might be clauses stating that you should never travel against the advice of a medical practitioner, or to obtain medical treatment abroad (unless already disclosed and pre-approved). The same goes for those on waiting lists for surgery or procedures, or awaiting the results of medical tests. There are specialist travel insurers who will often cover terminal illnesses.
During the medical screening, you may be asked specific questions, such as: have you been a hospital inpatient or had any medical condition that requires ongoing medication, or referral to a specialist within the past twelve months? Have you ever suffered from, been diagnosed with, or treated for cancer (or other malignant disease), a heart or lung condition (excluding well-controlled asthma), high blood pressure or any psychiatric disorder?
Any claims you make which relate directly or indirectly to the types of conditions listed above will normally be excluded – unless you declared the condition and it was accepted by the underwriter, subject to any conditions or additional premiums imposed. Whether or not a particular travel insurance company is willing to offer insurance will depend upon different factors, depending on the underwriter, so it is wise to shop around and obtain quotes.
The biggest mistake is taking the risk of failing to disclose a condition to obtain the insurance. You might get away with it if there are no problems and you have no reason to make a claim. However, if the worst should happen, the insurance company has ways to find out – and they will find out – about any pre-existing conditions! You could find yourself with huge medical bills and your insurance claims denied. With the high cost of medical treatment in some countries (the USA especially) it simply is not worth it. Always be completely honest so that you can have peace of mind and enjoy your holiday without worrying about every twinge!
Cheap annual travel insurance is hugely popular amongst UK holiday goers, allowing them to travel when and where they wish without having to worry about booking travel insurance for every single trip. Many people assume that their cheap travel insurance will cover them against every eventuality, but this isn’t the case. There are plenty of exclusions in the average document, and one of the most well known but least understood of these is the “acts of God” exclusion. What do travel insurance companies mean by an act of God? And what might not be covered by your annual travel insurance?
What are “Acts of God”?
Traditionally, “acts of God” was a standard exclusion clause that featured in many different kinds of insurance; travel, housing, property and so on. Essentially, it refers to “a sudden and violent act of nature that could not have been foreseen or prevented”, typically meaning natural disasters such as:
Hurricanes and tempests Lightning storms Floods Earthquakes and volcanic eruptions
Mass outbreaks of infectious diseases are also often classed as “acts of God” (perhaps in some kind of biblical reference to the seven plagues of ancient Egypt!). Essentially, the exclusion clause means that if an event is classed as an act of God, any costs that you incur as a result of it may not be covered by your travel insurance, and you will not be entitled to any compensation from your insurance company.
Nowadays, an actual “acts of God” exclusion isn’t always in a travel insurance policy, but most insurers still have similar exclusions in place under different names, such as “natural disasters”. It may seem like a chore, but you really do need to read your policy carefully before you go – if you think you are covered for something and you aren’t, you could end up paying a small fortune in medical and transport costs. When Hurricane Katrina hit New Orleans and Florida, hundreds of holiday goers found themselves caught out, unable to claim compensation for the costs incurred or the cancellation of their trips.
If you are traveling to a place that has a risk of natural disasters, make sure you talk to your travel insurance company to make sure your insurance will protect you.
What about Acts of War and Acts of Terrorism?
While acts of God is one of the most well known exclusion clauses, in today’s international climate, terrorism is also a common exclusion. Much like natural disasters, if you incur costs or your holiday is canceled because of terrorism, your travel insurance may well be invalid. If terrorism is a potential hazard for your destination of choice, check that your worldwide travel insurance will cover you against acts of terrorism – some insurers do provide this kind of protection, but many do not.
Most policies will be invalidated by serious civil unrest or if war breaks out in a country while you are traveling there – the Foreign Office website is the best place to visit to check up on the political stability of your holiday destination, as it provides up to date and accurate information about the potential hazards of every country in the world.
Travel insurance hit the headlines recently when it emerged that many Britons are losing out on their holiday insurance premiums after neglecting to mention pre-existing medical conditions at the time of booking. So what medical conditions should you mention when taking out travel insurance and what exactly are your rights in relation to existing conditions?
Pre-existing medical conditions seem to generate a lot of confusion amongst holiday makers and it appears that most of the population is confused to what actually constitutes a pre-existing medical condition. A simple definition is that a pre-existing medical condition is defined in travel insurance terms as “an illness or injury that you, a traveling companion, or family member were seeking or receiving treatment for or had symptoms of on the day you purchased your plan, or at any time in the 9 months before you purchased it”.
But whether its asthma, diabetes or cardiovascular problems, the fact is that the majority of people in the United Kingdom do have pre-existing medical conditions. So if you’re one of these people what should you do? Well the first port of call is letting your travel insurance provider know.
If you plan on booking your holiday insurance online, you will often find that the form you need to fill in really isn’t that comprehensive and often leaves little or no room for you to talk about any pre-existing medical conditions that you or a family member has. The easiest way of doing this is a simple phone call to your travel insurance provider or a quick email enlightening them on your current situation.
And remember your pre-existing conditions aren’t the only ones which need mentioning. If a close relative has recently been taken ill this may hinder your ability to complete the trip and so should definitely be mentioned to your holiday insurance provider. Likewise, if your boss or a business associate has recently fallen ill and it is likely that if his condition worsens you will have to abandon your holiday and hold fort in the office then this should also be mentioned.
Although most medical conditions that you’ve suffered from prior to the nine month pre-purchase period do not ordinarily need to be mentioned to your travel insurance provider, things get a little more complicated if you have ever suffered from cardiovascular, cerebrovascular (strokes and brain hemorrhages) or cancerous conditions and most holiday insurance companies will not cover these if you have ever suffered from, or undergone investigation for them.
The important thing to remember is that pre-existing medical conditions do not stop you taking out holiday insurance or even claiming on your travel insurance for costs relating to them. In simple terms, if you are asthmatic and whilst on holiday you suffer from an asthma attack, you will not be able to claim on your holiday insurance for any costs related to this condition, if it arises that you suffered from this illness nine months prior to booking your holiday and chose not to inform your travel insurance operator
If you don’t declare a medical condition, prior to travelling, you are opening yourself up to a potentially enormous financial risk, which could run into many thousands of pounds. The risk is just not worth it.